Industry seeks clarity on misleading ads

The advertising and talent management industry will seek clarification from the government about what is ‘misleading’, as the consumer affairs minister proposed a new consumer protection bill stating that celebrities can face up to a three-year ban for appearing in misleading ads.
  • In order to conclude whether the ad is misleading or not, advertising industry had asked for some solid grounds. Basis like visiting each of the brands’ manufacturing plants, labs, test their ingredients etc. are impossible task to do.
  • Celebrities endorsing misleading ads will have to pay penalty of up to Rs 50 lakh and serve a ban of up to three years once the Consumer Protection Bill 2018.
  • Central Consumer Protection Authority(CCPA) would have adequate powers to investigate violations of consumer rights, recall unsafe goods and order misleading ads to be withdrawn from media.
  • The CCPA authority will also have the power to ban an endorser of ‘false’ or ‘misleading’ ads for one year, while subsequent violation will attract a ban of up to three years.
Industry body Advertising Standards and Council of India (ASCI), has introduced a set of guidelines for celebrity endorsement. These guidelines will help them understand that what are the things to watch out for before agreeing to endorsement in terms of legality.

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